Vertical Spreads for Aggressive Growth

Discussion in 'Journals' started by Cache Landing, Jan 27, 2006.

  1. Now only if we could get all our credit spreads with such a risk profile :D

    I wasnt looking for too much during this month but it appears the recent swings have been quite beneficial for both of us. I am loving this high volty, open a position then close it in the black in 2 days, if it goes against ya just wait two more days :D (limited risk spreads do wonders in such an environment)

    It would be nice if vix stays >16 through the summer doldrums but i am not holding my breath.
     
    #581     Jun 5, 2006
  2. Your right:D no way...thats a great trade, but one question. Selling 1 1245 put...doesn't that create a margin issue? For me it would require 36k (in the IRA) for just 1 contract. I know if your in a margin account so its less and of course you then bought the 1240 the same day. I always have to buy the put or call first then leg into the sell side. I guess I'm just asking about how you do the accounting since the account was initially 10K.
     
    #582     Jun 6, 2006
  3. nlslax

    nlslax

    STO 1 SPX JUN 1245 p @ 7.00

    Looks like he sold the short 1245 Put today against the 1240 he already owned.
     
    #583     Jun 6, 2006
  4. found it thanks...nice move to buy on the 2nd
     
    #584     Jun 6, 2006
  5. Just closed the ATI bear calls and the remaining SPX bear puts that I had left over from the b-fly adjustments.
     
    #585     Jun 6, 2006
  6. Today's Action Cont.

    BTC 2 ATI JUN 65/70 c @ 0.85
    STC 2 SPX 1245/1255 p @ 2.70

    Profit/Loss

    Acct. Value: $13,321.50

    YTD Gross P/L: $3,830.00

    YTD Commiss: $508.50

    YTD Net P/L: $3,321.50

    YTD % P/L: 33.22%
     
    #586     Jun 6, 2006
  7. Thanks, that was part of the strategy this time because of my volty forecasts. There was however an element of luck in that trade. Since I was golfing during market hours when SPX bottomed out, it just happened that my sell @ 7.00 order was near the bottom. I was originally going to set it @ 10.00 but wasn't sure how fast SPX would drop. In the end I decided to try to get the unbalanced IC that I'm in right now at 1:1 r/r. $7.00 was that point.:D
     
    #587     Jun 6, 2006
  8. Hmmm... Looks like I might've gotten $10.00 afterall if I'd waited for the follow through today.:eek:
     
    #588     Jun 6, 2006
  9. Prevail

    Prevail Guest

    sbscrbd.
     
    #589     Jun 6, 2006
  10. cnms2

    cnms2